NEW DELHI: The Central Bureau of Investigation (CBI) on Thursday examined former chairman and managing director (CMD) of ABG Shipyard in connection with Rs 22,842 crore bank fraud case, news agency PTI reported.
The CBI had booked ABG Shipyard Ltd and its then chairman and managing director Rishi Kamlesh Agarwal, along with others, for allegedly cheating the consortium of 28 banks of over Rs 22,842 crore.
The action comes days after the probe agency registered an FIR in the country’s biggest alleged bank loan fraud case till date.
It had also named the then executive director Santhanam Muthaswamy, directors Ashwini Kumar, Sushil Kumar Agarwal and Ravi Vimal Nevetia and another company ABG International Pvt Ltd for alleged offences of criminal conspiracy, cheating, criminal breach of trust and abuse of official position under the Indian Penal Code (IPC) and the Prevention of Corruption Act.
Yesterday, the Enforcement Directorate (ED) had registered a criminal case of money laundering against ABG Shipyard, its former promoters along with others.
CBI registered an FIR after a complaint was filed by the State Bank of India (SBI) on Novemner 8, 2019. The agency then sought fresh clarifications on March 12, 2020.
ABG Shipyard was credit facilities by 28 banks and financial institutions led by ICICI Bank, with SBI having an exposure of Rs 2,468.51 crore.
A forensic audit by Ernst and Young showed that between 2012-17, the accused colluded together and committed illegal activities, including diversion of funds, misappropriation and criminal breach of trust, the CBI had said.
The funds (bank loans) were used by the company and its promoters for purposes other than for which they were released by banks, the agency added.
Consequently, the loan account was declared a non-performing asset (NPA) in July, 2016 and a fraud in 2019.
(With inputs from PTI)
The CBI had booked ABG Shipyard Ltd and its then chairman and managing director Rishi Kamlesh Agarwal, along with others, for allegedly cheating the consortium of 28 banks of over Rs 22,842 crore.
The action comes days after the probe agency registered an FIR in the country’s biggest alleged bank loan fraud case till date.
It had also named the then executive director Santhanam Muthaswamy, directors Ashwini Kumar, Sushil Kumar Agarwal and Ravi Vimal Nevetia and another company ABG International Pvt Ltd for alleged offences of criminal conspiracy, cheating, criminal breach of trust and abuse of official position under the Indian Penal Code (IPC) and the Prevention of Corruption Act.
Yesterday, the Enforcement Directorate (ED) had registered a criminal case of money laundering against ABG Shipyard, its former promoters along with others.
CBI registered an FIR after a complaint was filed by the State Bank of India (SBI) on Novemner 8, 2019. The agency then sought fresh clarifications on March 12, 2020.
ABG Shipyard was credit facilities by 28 banks and financial institutions led by ICICI Bank, with SBI having an exposure of Rs 2,468.51 crore.
A forensic audit by Ernst and Young showed that between 2012-17, the accused colluded together and committed illegal activities, including diversion of funds, misappropriation and criminal breach of trust, the CBI had said.
The funds (bank loans) were used by the company and its promoters for purposes other than for which they were released by banks, the agency added.
Consequently, the loan account was declared a non-performing asset (NPA) in July, 2016 and a fraud in 2019.
(With inputs from PTI)
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